This document discusses the system approach to management. It defines a system as a set of independent parts that work together interdependently to achieve objectives. The key points are:
1. Every organization is a system made up of subsystems like production, marketing, finance, and HR that perform core functions.
2. A system approach requires managers to consider all subsystems and the external environment to ensure the organization's output is greater than the parts.
3. Contingency approach extends the system approach by suggesting the best management technique depends on the specific organizational situation, circumstances, and time. The approach assumes each organization is unique based on its environment.